HDFC Bank hikes lending rates: Loan EMIs to go up. Check latest MCLR rates here
HDFC Bank has hiked benchmark marginal cost of funds-based lending rates (MCLR) by 15 basis points (bps) on select tenures with effect from 7 August. However, MCLRs for tenures longer than one year remain unchanged. According to the bank website, the overnight MCLR is now 8.35%.
The MCLR for one month is 8.45% and the three-month and six-month MCLRs will be 8.70% and 8.95%. The one-year MCLR, which is connected to many consumer loans, will now be 9.10%, the two-year MCLR will be 9.15%, and the three-year MCLR will be 9.20%. Overnight 8.35% 1 Month 8.45% 3 Month 8.70% 6 Month 8.95% 1 Year 9.10% 2 Year 9.15% 3 Year 9.20% In general terms, MCLR is the minimum interest rate that banks require to charge for a specific loan.
MCLR works as a benchmark or lower limit of lending rates. This means that banks cannot go lower than MCLR rates in offering their term loans like personal loans, car loans, home loans, and education loans among others. HDFC Bank and HDFC Ltd announced a successful merger, which became effective from 1st July 2023.
The merged entity inter-alia brings together significant complementarities that exist between both the entities and is poised to create meaningful value for various stakeholders, including respective customers, employees, and shareholders of both entities from increased scale, comprehensive product offering, balance sheet resiliency and ability to drive synergies across revenue opportunities, operating efficiencies, and underwriting efficiencies. ICICI Bank, Punjab National Bank, and Bank of India have revised their marginal cost-based lending rate (MCLR) on loans . The revised interest rates are effective from 1 August, as per the bank websites.
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